Banks in India have embraced technology and all major public sector and private banks in India offer online banking as a standard feature to their customers. The benefits of internet are many and they have changed the way the country does business.
Access: Previously you had to go to your bank branch during business hours to transact and operate your account. Now online banking has ensured that you no longer have to go to the branch, fill in a form and stand in a queue to do all this. Just get online and logon to your net banking account and you will have a printout of your account statement in a few minutes. You can order cheque books and demand drafts online. Banks now even let you start fixed deposits and recurring deposits online. The main beneficiary is the working population, who do not have to stand in long lines to get their work done. The youth who work during the night shift love the fact that they can operate their account pay their bills online without having to disrupt their schedule.
Net banking ensures that you are not dependent on visiting the branch for every little thing. The banks benefit as they have to invest only a one-time cost for IT infrastructure and lesser footfalls in branches mean that they require lesser staff and premises and can save huge amounts in salaries and rent. Net banking ensures that customers can deal with their bank at any time and not only during business hours. The fact that your account and the funds in it are available to you on a public holiday is something that customers appreciate. Online banking has shrunk the geographical boundaries that shackled traditional branch banking.
Banks have now gone one step further and introduced mobile banking which is an extension of internet banking. Customers who use new age smartphones have to download an app which connects them to their bank. Now all the things that they did on a computer are available on their mobile phone. With instant SMS alerts and monthly account statement being emailed on demand, keeping track of your account has never been easier.
To prevent fraud and theft, banks have invested heavily in the latest online security systems that prevent hacking and phishing attacks. Customers have also been educated on the right protocols to follows while operating an online banking account. This has ensured that online transactions are safe and secure and the customers will not lose or misplace their funds online. The RBI and the SEBI and the government together regulate the internet banking segment through various regulations and laws. KYC norms have been instituted and no customer can open a bank account without complying with KYC norms. Net banking is a boon for everyone and has grown exponentially in India in the last 5 years. The number of people using it is only poised to grow.